comfortable, spacious suites
We stayed at San Marco Palace for three nights in June 2006 and enjoyed our spacious and comfortable suite. It consisted of a separate bedroom and a large livingroom area that also served as a sleeping area at night for our two (older) kids. The place was clean, as well as a comfortable haven when we wanted to escape the crowds of tourists in nearby Piazza San Marco. The rooms were quiet and the air conditioning system was good (which may be a rarity in Europe!), which came in handy on those near ninety degree days that we spent in Venice. The bathroom was on the small side, and nothing fancy, but, hey, I didn't come to Venice for an elegant bathroom! Breakfast was included, and considering the sky high prices in Venice, this was a blessing. Breakfast is a continental one, yet tasty, and is served in a very elegant dining room which overlooks a canal.
The location of this hotel is a good one. You will literally be right behind Piazza San Marco, with the Basillica and the Doges Palace and Bridge of Sighs close at hand. If you love to shop, you will have wonderful stores to go to in the Piazza as well as on the nearby streets. I have read reviews that say that this place is hard to find, but if you cross Piazza San Marco and go through the opening by Quadri Cafe, go over the little bridge and turn right you will be right there.
There was one negative aspect that bears mentioning. Upon arrival, the girl at the desk was trying to push a free tour of Murano (the island where Murano glass is made). We had to decline a couple of times before she stopped pushing it. I felt that after that, she was not particularly friendly to us when we'd go to the desk to ask for something. However, the rest of the staff was courteous, and our stay there, overall, was a pleasant and comfortable one.